[TML] I wasted over $3,000 doing this on Amazon

Hello,

I got a ton of replies asking about my Amazon Ads strategy.

So today I’m going to show you the whole picture.

But first, let me tell you about the $3,000 mistake I made.

The $3,000 Mistake

When I first started running Amazon ads, I took my best-selling mugs.

Mother. Father. Daughter.

Products are already making sales on their own.

And I threw money at them.

Big mistake.

In those niches, one click costs $2 to $5 or more.

Sell a mug for $19.95. Pay $3 just for someone to look at it.

You can’t make a profit doing that.

I tried it with jewelry too. Still lost money.

So I stopped and looked at what was actually working.

And I found something interesting.

Where Amazon Ads Actually Show Up

But before I get to that, let me show you where ads actually show up on Amazon. Because this part matters a lot.

There are three places.

Amazon Ads Top of Search placement

This is the very first thing people see when they search for something on Amazon.

Like if someone searches “funny mom mug,” your product shows up right at the top.

Most eyes. Highest chance of a sale.

This is where you want to be.

Amazon Ads Rest of Search placement

Same page. Just a little lower.

People have to scroll a bit to see your products.

Fewer eyes than the top, but cheaper too.

Still worth it.

3. Product Pages

Amazon Ads Product Pages placement

This puts your product on someone else’s listing page.

Like right next to a competitor’s product.

Sounds clever. And maybe it is.

But I barely get any sales from here, so I almost never use it.

So I focus on the first two placements.

Top of Search and Rest of Search.

The Problem With Big Niches

Now here is the problem.

To get into those two spots in big niches, you have to outbid everyone else.

And everyone else is bidding hard.

Search “mother” on Amazon and you get over 300,000 results.

Amazon search results for mother showing over 300,000 results

That is 300,000 products fighting for the same two spots.

So what did I do?

I stopped fighting where everyone else was fighting.

The Secret: Tiny Niches

I searched “judge” instead.

Amazon search results for judge showing 30,000 results

30,000 results.

Ten times fewer sellers.

Ten times less competition.

And because fewer sellers are bidding, Amazon charges almost nothing to put your product at the top.

I now pay around $0.30 to $0.80 per click on average.

Not $2 to $5. Thirty to eighty cents.

That is the whole secret.

Find tiny niches nobody is fighting over. Promote there instead.

Thrifting. Funeral Directors. Nurse Practitioners. Judges.

There are hundreds of niches like this. Maybe thousands.

Each one brings a small trickle of traffic.

But many trickles together? That becomes a river.

Making It Work at Scale

Now, here is what makes this actually work at scale.

I don’t just have one mug per niche.

Each niche has around 200-500 products in my Amazon account.

So when I create a campaign for one niche, Amazon can see which products get clicks and which ones get sales. Then it sends more traffic to the winning products automatically.

That only works if you have enough products per niche for Amazon to test.

Which brings me to this.

I currently have around 500,000 active listings in my Amazon account.

Amazon account showing approximately 500,000 active listings

I know that sounds crazy.

But it took years to get here.

For a long time, I hired two virtual assistants to upload 150 products a day.

Every day. For years.

Then I built PODtomatic to automate that whole process. It now uploads around 200 products a day for me on autopilot.

That is how the number got this big over 5-6 years.

You don’t need 500k products to start.

But I do recommend getting to at least 20,000 listings before running ads.

That way each niche has enough products to promote and let Amazon figure out which ones people actually buy.

If you don’t have products uploaded yet, PODtomatic is what I use to do that. No hard sell here. Just telling you what works for me.

The Full Picture

Okay, this email is getting long.

You now have the full picture of how this works.

Tiny niches. Lots of products. Let Amazon do the heavy lifting.

The campaign setup itself is actually simple once you understand this part.

In the next email, I’ll show you one small setting inside the campaign that most sellers never touch.

It is the reason I pay $0.30 a click while others pay $3 for the same spot.


Talk soon,

Bank K.

P.S. You might be wondering…

“Bank, you have 500,000 products on Amazon. How many sales do you make without running any ads?”

Honest answer?

About 2 to 3 sales a day now.

Sad, I know.

Five years ago, it was 10 to 20 sales a day without ads.

When I first launched PODtomatic, I told people they could “connect and forget.”

Connect Amazon to PODtomatic, let it upload products, and watch the passive sales come in.

That worked beautifully for years.

But something changed.

Amazon updated something. The algorithm maybe. I’m not sure exactly what.

Getting products to climb to the top of search results on their own is much harder now.

So running ads is no longer optional if you want real sales.

Here is the good news though.

With ads, I actually make more sales than before. Because there are so many low competition niches to target. And the ads run all year long.

I check my campaigns once a month.

That is it.

My wife does the same.

A few sellers on PODtomatic are doing it too.

And in the next email, I will show you exactly how we do it.